VW Explains Foray Into EV Car-Sharing Service

July 10, 2018—Volkswagen AG recently explained why it’s launching a rival to ride-sharing company Zipcar with a unique element: all of its vehicles will be electric.

As noted byThe Motley Fool, the German OEM will launch its own urban car-sharing service starting next year in Germany and rolling out worldwide in 2020.

And, the entire fleet of VW vehicles will be 100-percent electric (battery electric), the company said. Customers will use VW’s “WE” app to find nearby cars and arrange to rent them. The concept is similar to what companies like Zipcar and Maven offer to customers.

VW said that the new car-sharing service will be managed by one of its subsidiaries, Urban Mobility International (UMI). In a statement, UMI CEO Philipp Reth promised an “environmentally friendly fleet that takes [clients] to their destination quickly, and at a fair price.”

VW is investing heavily in what it expects to be a major shift to electric vehicles over the next several years.